Hi,
even though the question might not be Stata-specific there might be a Stata-supported solution.
Recalling one of my econometric courses I remember that a sufficient variation in your dependent and independent variables is desirable in a regression analysis as it helps to pin down the relationship between your x and y variables. I was wondering if there is a way to test if the variation is sufficient or if I can assume this as long as Stata is able to calculate the coefficients for my model.
This is the variation for the dummy variable of interest:
Looking forward to hearing your thoughts and ideas on this
even though the question might not be Stata-specific there might be a Stata-supported solution.
Recalling one of my econometric courses I remember that a sufficient variation in your dependent and independent variables is desirable in a regression analysis as it helps to pin down the relationship between your x and y variables. I was wondering if there is a way to test if the variation is sufficient or if I can assume this as long as Stata is able to calculate the coefficients for my model.
This is the variation for the dummy variable of interest:
Code:
CEO_celeb3 | Freq. Percent Cum.
------------+-----------------------------------
0 | 2,133 92.74 92.74
1 | 167 7.26 100.00
------------+-----------------------------------
Total | 2,300 100.00
